dpCLEARWATER, Fla. — Clearwater residents attended a budget workshop to learn how Florida’s proposed Amendment 3 could affect city services and funding if voters approve it in November.
The proposed property tax amendment would increase homestead exemptions for homeowners, essentially phasing out the property tax over the next few years. To qualify, the property would have to be a person’s primary residence in Florida.
City Manager Jennifer Poirrier said Clearwater could lose millions of dollars from its general fund if the amendment passes.
“Our revenues could be impacted at a reduction of approximately $12 million in year one and an additional $8 million in year two to the general fund,” Poirrier said.
The $12 million reduction would represent about 10% of Clearwater’s general fund, according to the city. Poirrier said the city would need to review where cuts could be made if the measure is approved.
Clearwater is scheduled to hold a special budget work session Aug. 11, when officials will present options to the City Council for the 2027 budget.
“We are taking the information that is gathered here today from the community to determine how we would implement a plan should the referendum pass with those reduced revenues,” Poirrier said.
Resident Patrick Raftery said the workshop gave him a chance to speak directly with city leaders about the possible effects of the amendment.
“I think the impact on the city’s revenue will be significant,” Raftery said. “We need to understand that that will affect services being provided to us and initiatives being funded by the city.”
Raftery said he understands why homeowners may focus on reducing property taxes, but said residents should also consider the possible effects on city services.
“We all might be focused on the reduction of our property taxes, which we would like, but there are consequences of that,” Raftery said. “We need to be careful that those things do not impact our city adversely, and therefore ourselves.”
Raftery said if Amendment 3 passes, city leaders will have difficult choices ahead.
“Ten percent is going to have to come from somewhere,” Raftery said. “And unfortunately, the council, city manager, and staff are going to have to set the priorities for where that 10% reduction comes from.”
Poirrier said the city of Clearwater does not have a position on Amendment 3 and is not allowed to take one. She said the city can only provide information about how the amendment could affect Clearwater.
